Gap upgraded to Buy from Hold at Jefferies

Jefferies upgraded Gap (GAP) to Buy from Hold with a price target of $30, up from $22. The firm says the company’s new management has delivered a “strong turnaround” at both the Gap and Old Navy brands. There remains “meaningful upside” for the shares, particularly as Athleta’s recovery gains traction, the analyst tells investors in a research note. Jefferies sees “significant upside” in Gap’s beauty segment and believes the Street is underestimating this opportunity.